Thome Company uses a flexible budget for manufacturing overhead based on direct labor hours. Variable manufacturing overhead costs per direct labor hour are as follows.

Indirect labor

$1.00

Indirect materials

0.50

Utilities

0.41

Fixed overhead costs per month are: Supervision $3,700, Depreciation $1,500, and Property Taxes $790. The company believes it will normally operate in a range of 6,900-9,900 direct labor hours per month. Use increments of 1,000 direct labor hours. Assume that in July 2012, Thome Company incurs the following manufacturing overhead costs.

Variable Costs

Fixed Costs

Indirect labor

$8,629

Supervision

$3,700

Indirect materials

4,332

Depreciation

1,500

Utilities

3,000

Property taxes

790

Your answer is correct.

Complete the flexible budget performance report, assuming that the company worked 8,900 direct labor hours during the month. (If answer is zero, please enter 0, do not leave any fields blank. Enter all numbers as positive numbers.)

Your answer is correct.

Complete the flexible budget performance report, assuming that the company worked 7,900 direct labor hours during the month.